STATEHOUSE SUMMARY
With the final sprint to the end of the 2022 session, the House and Senate concluded the committee process last week, packing in as many bills as possible in the last committee hearings of 2022. This week the third reading deadline for the House is February 28 and the Senate third reading deadline is March 1. This concludes the second half of the session and the start of conference committees. This past week, the IMBA was active as several bills of note were heard in committee, and others were brought down on second and third readings. The IMBA worked to amend one bill and protected the work already done on several other bills from further changes.
BILLS TO WATCH
SB 358 – Personal Information and Social Media Policies
Sen. Liz Brown (R – District 15)
What you need to know
As drafted, this would place new burdensome requirements on all Indiana financial institutions for the management of customer data. The bill author worked with the IMBA to find a solution to industry concerns. The current version of the bill exempts institutions from the bill that are regulated under the Graham-Leach-Bliley Act data protection standards.
Latest action
The bill passed the House Commerce, Small Business and Economic Development Committee on Feb. 15. However, the bill was not called down by the House sponsor before the second reading deadline, which killed the bill.
Learn more about SB 358
HB 1351 – Disclosure or Notification of Data Breach
Rep. Martin Carbaugh (R – District 81)
What you need to know
This bill adds a requirement that a disclosure or notice must occur no more than 45 days after the discovery of a data breach to the existing Indiana statute on data breaches. Financial institutions are currently exempted from the existing statute regarding data breaches under Indiana code. The IMBA is neutral on this proposal.
Latest action
The bill passed second reading on Feb. 24 with no amendments. It is now eligible for third reading.
Learn more about HB 1351
SB 351—Virtual Currency
Sen. Chris Garten (R – District 45)
What you need to know
The bill defines virtual currency under the Uniform Law Commission definition of a controllable electronic record. It also establishes a new chapter within the Uniform Commercial Code governing transactions in virtual currency and establishes when a person is considered to have control over virtual currency. This is the first step towards establishing a framework for virtual currency in the state of Indiana. The IMBA has been assisting Sen. Garten with the legislation and is in support of the approach the bill is taking with respect to virtual currency.
Latest action
The bill passed third reading on Feb. 22 with a vote of 92-0. The bill now awaits signatures from the Speaker of the House and Senate President Pro Tempore.
Learn more about SB 351
HB 1048 – Sheriff's Sale in Mortgage Foreclosure Action
Rep. Sean Eberhart (R – District 57)
What you need to know
The bill raises the amount that a sheriff can charge for administrative fees from $200 to $300. The fee was originally set at $500. The increase tracks inflation as the fee was set at $200 in 2005. The IMBA is neutral on the fee increase as long as the increase tracks inflationary increases. The bill was also amended to include language that prohibited certain buyers from bidding at sheriff sales if they are delinquent on taxes or fall under other provisions. The language was pulled from the tax sale statute. The IMBA included an amendment that would remove the foreclosing lender from falling under the prohibited statutes.
Latest action
The bill was heard in the Senate Tax and Fiscal Policy Committee on Feb. 14. It was voted out of committee as amended. It is now eligible for second reading amendments.
Learn more about HB 1048
SB 408 – Community Investments by Financial Institutions
Sen. Andy Zay (R – District 17)
What you need to know
The IMBA is in SUPPORT of the bill. The bill enables state-chartered institutions to participate in investments/loans using the recent Office of the Comptroller of the Currency tax credit investment rules, including tax equity investments, without the need for prior DFI approval under the Indiana parity statute. The IMBA worked with Sen. Zay on the legislation.
Latest action
The bill passed third reading 93-1. It now awaits signatures from the Speaker of the House and Senate President Pro Tempore.
Learn more about SB 408
HB 1001 – Administrative Authority
Rep. Matt Lehman (R – District 79)
What you need to know
The bill is divided into two main parts. The first part places in statute language that is needed to claim certain enhanced federal matching funds available to the Medicaid program in the absence of an executive order. The second part placed new requirements on employers that mandate vaccinations as a condition of employment. The IMBA was concerned about the impact and costs these new requirements will have on financial institutions. The Senate Health and Provider Services Committee removed all the concerning provisions related to employers including exemptions, adverse action against employers and cost of testing.
Latest action
The bill passed second reading with one amendment on Feb. 24. It is now eligible for third reading.
Learn more about HB 1001
HB 1002 – Various Tax Matters
Rep. Tim Brown (R – District 41)
What you need to know
This bill includes the House approach to reducing Indiana taxes by $1 billion. Notable changes include the elimination of the business personal property tax and the utility receipts tax. The Senate Tax and Fiscal Committee removed almost all tax reduction provisions in committee last week and is now awaiting amendments.
Latest action
The bill passed out of the Senate Tax and Fiscal Policy Committee on Feb. 22 with proposed amendments. The bill passed second reading with one amendment on Feb. 24. It is now eligible for third reading.
Learn more about HB 1002
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